Surprise scenarios include $2,000 gold by year-end. Several factors support this "surprise" including:
- Gold goes up when real Fed fund rates are negative -- and they are
- Excess leverage leads to money printing or default
- China and Japan haven't started buying gold yet
- Gold does not display characteristics of a bubble
- The inflation-adjusted gold price is still well-below peak
Credit Suisse is keeping an official target of $1,500 for gold, but it admits that these factors could drive a major surprise to the upside.
Garthwaite also names a booming U.S. economy as a viable scenario. Here are the rest of the surprises:
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